Adminisnotadmin

Sorry, this one was a bit late

[The Natural Monopoly of Distribution: Deregulation of Electricity Generation and its Results : r/neoliberal](https://www.reddit.com/r/neoliberal/comments/1vvtzxo/the_natural_monopoly_of_distribution_deregulation/)

Can it be approved please?

Per introductory economics theory, in a perfectly competitive market, supply and demand dictate price. At this equilibrium in a functioning market, we expect producers and consumers to agree upon a price for transaction in their own self-interest. After all, “It is not from the benevolence of the butcher, the brewer, or the baker, that we expect our dinner, but from their regard to their own interest[,]” as Adam Smith so wisely put. A perfectly competitive market, with both consumers and producers have minimal information asymmetry, reveals preferences otherwise not stated.

But how does this comport with the idea of a natural monopoly, wherein you have high land or capital constraints suc